The performing arts studio is a highly complex learning setting, and assessing student outcomes relative to reliable and valid standards has presented challenges to this teaching and learning method. Building from the general international higher education literature, this article illustrates details, processes, and solutions, drawing on performance assessment and studio research literature in the field of one-to-one, or applied, music teaching. The nature of musical performance assessment will be explained as an emerging tool embedded in the pedagogical methodology research literature of the applied studio learning setting. Implications are explored and suggestions are made for other disciplines in regards to both summative and formative performance assessment strategies. (Contains 1 table.)